Weekly Market View from Realm Investment Management. Week ending 10th June 2022.
In the US, CPI data showed that prices rose 8.6% year-on-year in May, the highest YOY increase in more than forty years. In an attempt to control inflation, the Fed is expected to raise rates by 0.5% this week and again in July. Further out, futures markets are currently pricing in a further 0.5% hike in September. Following the release of the CPI data, US Treasury yields rose, and again today (Monday) with the 10-year treasury yield hitting its highest level since 2011.
Also today, UK GDP data from the Office for National Statistics showed that the economy contracted by 0.3% in April. The below-expectations release saw the Pound fall sharply to a 2-year low against the US Dollar.
The Big Picture 10th June 2022
Market Sentiment 10th June 2022
U.S. Risk Barometer 10th June 2022
Europe Risk Barometer 10th June 2022
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This communication is not intended as a recommendation to invest in any particular asset class, security or strategy. Regulatory requirements that require impartiality of investment/investment strategy recommendations are therefore not applicable nor are any prohibitions to trade before publication. The information provided is for illustrative purposes only, it should not be relied upon as recommendations to buy or sell investments.’